I begin our investigation of your own dating between monetary development and you may financial es of your 29 businesses that was in fact listed in the newest Dow-jones Industrial Mediocre (DJIA) ranging from dos nd , a period of time whereby i’ve purchase frequency and you may rate analysis towards the DJIA parts
At any onetime, the DJIA contains 31 people. But not, Travelers changed Citigroup on the DJIA over the course of all of our analysis. About computations reported, i envision inventory research and information investigation for of them people. Full specifics of the organization brands included in the new corpus investigation are supplied on Second Advice (Desk S1).
I browse the the connection ranging from interest in a family throughout the information and interest in a family in the stock locations
Stocks getting companies listed in the fresh DJIA is actually exchanged on Ny Stock market (NYSE), unlock anywhere between 9:30 was and you can cuatro pm New york time (for the majority of of the year, 2:30 pm in order to nine pm London area go out). We would this studies and all after the analyses getting trade weeks merely, excluding all vacations and bank holidays.
In Figure 2, we take Bank of America as an example for this analysis and plot the number of daily mentions of “Bank of America” against daily transaction volume for Bank of America. https://datingranking.net/local-hookup/london/ We find that a greater number of daily mentions of “Bank of America” corresponds to a greater daily transaction volume for Bank of America stocks (? = 0.43, p < 0.001, Spearman's rank correlation).
Every single day quantity of mentions from “Lender off America” on Financial Times and you may each and every day exchange volume for Lender away from America (BAC) brings.
We depict the correlation between the daily number of mentions of “Bank of America” and the daily transaction volume for Bank of America (BAC) stocks. We find that the daily number of mentions of “Bank of America” is positively correlated with the daily transaction volume for Bank of America (BAC) stocks (? = 0.43, p < 0.001, Spearman's rank correlation).
We extend this analysis to all 31 Dow Jones companies from this period. For each company, we calculate the Spearman’s rank correlation between the daily number of mentions of a company’s name in the Financial Times and the transaction volume of the corresponding company’s stocks (Figure 3). We analyze the distribution of Spearman’s rank correlation coefficients for all 31 companies. Whilst the strongest correlation is found for Bank of America, we find that overall, the correlation coefficients are significantly higher than zero (median correlation coefficient = 0.074; mean correlation coefficient = 0.100, W = 450, p < 0.001, Wilcoxon signed rank test). A greater number of mentions of a company in the news therefore corresponds to a greater transaction volume of a company's stocks. This suggests greater interest in a company in the news is related to greater interest in a company in the stock markets.
For each of the 31 companies that were listed in the Dow Jones Industrial Average between 2 nd , we plot the Spearman’s rank correlation between the daily number of mentions of a company’s name and the transaction volume of the corresponding company’s stockspanies are indicated using their ticker symbol, for which a full list can be found in the Supplementary Information (Table S1). We analyze the distribution of correlation coefficients and find that, overall, the correlation coefficients are significantly higher than zero (median correlation coefficient = 0.074; mean correlation coefficient = 0.100; W = 450, p < 0.001, Wilcoxon signed rank test). In other words, the daily number of mentions of a company's name is positively correlated with the daily transaction volume of a company's stocks.
